India-based wind turbine supplier Suzlon Energy has completed the sale of its two solar subsidiaries to CLP Wind Farms.
The subsidiaries SE Solar and Gale Solar farms were sold for a total of Rs990.9m ($14.32m).
Suzlon’s balance stake in SE Solar was sold for Rs765.5m and its remaining interest in Gale for Rs225.4m.
In a statement, Suzlon Energy said: “In terms of share subscription, share purchase and shareholders’ agreement executed by the company and CLP Wind Farms (India) Private Limited (CLP) with SE Solar and Gale Solarfarms, the subsidiaries of the company, the company has completed sale of securities of SE Solar and Gale held by the company to CLP and accordingly SE Solar and Gale have ceased to be subsidiaries of the company.”
CLP does not belong to a promoter, promoter group or group companies, as such the transaction deal will not fall under related party transactions.
SE Solar posted a turnover of Rs544.3m ($7.87m) for the financial period ended 31 March 2018, with a total net worth of Rs1.595bn ($23.08m).
Gale’s turnover for the financial year stood at Rs7.2m ($0.104m) with a net worth of Rs320.3m ($4.63m).
The intention of the sale of subsidiaries remains undisclosed by the company.
In February, CNBC-TV18 reported that Suzlon’s management has plans to reduce its debt by 30% to 40% this fiscal year.